1. Credit and the Interest Insomniac Using Credit Wisely

3. Water

5. Overview What Is Credit? Credit Reports & Scores Power of Interest Using Credit Wisely

6. What is Credit?

7. What is Credit? Free Loan! Status Symbol! Free Money! Helps Me Buy What I Can’t Afford EVIL!

8. What is Credit? NOT Money!

9. What is Credit? NOT a Loan!

11. Recognition Capability & Responsibility

16. Credit Bureaus (“for profit” companies)= Credit History = Credit Record = Credit File = “Credit”

17. Credit Reports and Scores Genuinely Free No Strings Attached No Credit Card Required www.AnnualCreditReport.com

18. Credit Reports and Scores Report includes: Identifying information Employer information (not income) Details of all credit lines and loans Public record Inquiries Personal Statement

19. Credit Reports and Scores Credit Score: 300 - 850 Based on report Indicates risk

20. Credit Reports and Scores Credit Score: 300 - 850 Based on report Indicates risk Higher is better

21. National Distribution of FICO Scores Excellent Credit generally from 750-775 on up Source: My FICO (a division of Fair Isaac): www.MyFICO.com

22. Disputing Errors At Credit Bureau Websites TransUnion, Experian, Equifax Credit Repair Companies?

23. Disputing Errors Dispute Errors Cannot Remove Accurate Negative Information

24. 5 7 8 The 5 Areas a FICO Score Considers FICO = “Fair Isaac Company”(pioneer in the scoring formula)

25. What is Interest? %-based fee of balance owed “Rent” on money Related to RISK Fixed or Variable

26. The Power of Interest Purchase Furniture: $2,000 3 years at 25% APR

27. The Power of Interest Purchase Furniture: $2,000 3 years at 25% APR No Interest: $55.56/Month

28. The Power of Interest Purchase Furniture: $2,000 3 years at 25% APR No Interest: $55.56/Month With Interest: $79.52/Month Total = $2,880 $880 in Interest!!! 44% More!!!

29. The Power of Interest Purchase Furniture: $2,000 No Interest/No Payments For 3 Years

30. The Power of Interest Purchase Furniture: $2,000 No Interest/No Payments For 3 Years Balance @ 3 Years $4,233!!! $2,233 in Interest!!! 112% More!!!

31. What is Interest? The Main Thing to Remember About Interest…

32. Interest Never Sleeps

33. EVER Interest Never Sleeps

34. Interest Never Sleeps! Is that Good?

35. Interest Never Sleeps! Is that Good? Savings Plans & Investments

36. Interest Never Sleeps! The Second Thing to Remember About Interest!

37. Make Interest Work FOR You… Not AGAINST You!

38. Basics of Credit Cards Drive at speedometer’s top speed?

39. Basics of Credit Cards Drive at speedometer’s top speed? Max credit card’s limit?

42. Basics of Credit Cards Universal Default

43. Basics of Credit Cards Payment Holiday InterestNEVERSleeps

45. US households pay $1,100 in credit card interest annually

47. Who Cares About Your Credit? Landlords

48. Who Cares About Your Credit? More Employers

49. Who Cares About Your Credit? Car, Home &Life Insurance

50. Who Cares About Your Credit? Utilities & Cell Phone Providers

51. Living without a Major Credit Card Checking and savings accounts Have phone and utility report your payment history Retail and gas cards Secured Card Cosigner

52. Tips for Strengthening SCORE Dispute errors Budget Stay under 33% of credit limit! Contact creditors Avoid applying for a lot of new credit within a short period

53. Tips for Strengthening SCORE Shop for best rates Don’t close old accounts Pay down balances Get accounts “current” Pay bills on timeand in full.

54. Thank You for Attending! We are ALWAYS open to your Questions